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Lin Muxi, Wang Cong: Profoundly understanding General Secretary Xi Jinping's important expositions on the modern industrial system

The 2024 Central Economic Work Conference identified "leading the development of new quality productive forces through scientific and technological innovation and building a modernized industrial system" as one of the key tasks for economic work in 2025. On February 8, 2025, while listening to work reports from the Jilin Provincial Committee of the CPC and the Jilin Provincial Government, General Secretary Xi Jinping pointed out that high-quality development cannot be achieved without the drive of innovation and the support of industry. It is necessary to firmly guard the foundation of the real economy and coordinately promote the transformation of traditional industries, the expansion of advantageous industries, and the cultivation of new quality productive forces. This represents the latest deployment made by the CPC Central Committee with Comrade Xi Jinping at its core for building a modernized industrial system by assessing the situation and balancing current needs with future goals. Since the 18th CPC National Congress, General Secretary Xi Jinping has attached great importance to the construction of a modernized industrial system. He has proposed a series of new ideas, viewpoints, and judgments centered on the basic connotation, main characteristics, important principles, and developmental requirements of a modernized industrial system. These ideas are rich in content, profound in thought, and highly instructive, providing a scientific guide for the construction of a modernized industrial system in the New Era. Deeply understanding General Secretary Xi Jinping’s important discourse on the modernized industrial system helps us accurately grasp the major significance, scientific connotation, core tenets, and practical requirements of this strategic deployment—which concerns the overall situation of national development—and is of great importance for promoting high-quality development and building a modern socialist country in all respects.

I. The Historical Origins and Realistic Foundations of General Secretary Xi Jinping’s Important Discourse on the Modernized Industrial System

The industrial system our country possesses, characterized by complete categories and independent integrity, was formed and developed under specific historical conditions; it is the result of a large developing country accelerating socialist industrialization. The theoretical and practical proposition of building a modernized industrial system is based on the fact that our country has already established an industrial system with complete categories and independent integrity. It is both a summary of the successful experience of industrial development in New China and consistent with the realistic foundations of modernization.

(1) Two Important Prerequisites for Establishing an Industrial System with Complete Categories and Independent Integrity

In the early days of the founding of New China, our country’s industrial base was weak, equipment was crude, and technology was backward. Furthermore, the world at that time was characterized by the Cold War pattern between East and West. Western capitalist countries, driven by ideological bias, were hostile toward China and implemented a comprehensive blockade across political, economic, and military fields. In this context, to establish an independent industrial system as quickly as possible and change the face of poverty and backwardness, our Party leveraged the advantage of the socialist system to concentrate resources on major undertakings [1], broke through the Western blockade, and initially established an industrial system with complete categories and independent integrity in a relatively short period. To systematically grasp the evolutionary laws of constructing a modernized industrial system within a unique historical logic and our own national conditions, we must first accurately recognize the two important prerequisites for establishing such a system.

1. An industrial system established under the conditions of breaking through the blockade of Western capitalist countries

After World War II, in order to seek world hegemony, the United States led Western capitalist countries in adopting a Cold War strategy against socialist countries such as the Soviet Union. In November 1949, the United States organized the United Kingdom, France, Japan, and other countries to establish the "Coordinating Committee for Multilateral Export Controls" (COCOM) in Paris to restrict member states from exporting strategic materials and high technology to socialist countries. In December 1950, the U.S. government announced the freezing of Chinese assets within U.S. jurisdiction and prohibited U.S.-registered ships from sailing to China. In May 1951, the United States manipulated the fifth UN General Assembly to pass a resolution imposing an embargo on China. In August of the same year, the U.S. Congress passed the "Battle Act," requiring countries receiving "U.S. aid" to strictly implement the embargo policy. In September 1952, the U.S. added a "China Committee" (CHINCOM) to COCOM as a specialized agency for the embargo against China, listing more than 500 types of materials as contraband.

The blockade and embargo by Western countries led by the United States caused serious difficulties for China's foreign economic relations and trade, forcing us to establish an independent industrial system through socialist industrialization. Based on factors such as the reality of a weak industrial base, the severe and complex international situation, and the successful experience of Soviet industrialization, the Party Central Committee formulated a strategy of prioritizing the development of heavy industry. In February 1953, at the fourth session of the First National Committee of the Chinese People's Political Consultative Conference (CPPCC), Mao Zedong proposed that "we should set off a high tide of comprehensive study of the Soviet Union throughout the country to build our nation." During the "First Five-Year Plan" period, China carried out planned socialist construction, concentrating its main strength on developing heavy industry. With the "156 Projects" aided by the Soviet Union as the core, large-scale investment was undertaken, and an independent industrial system was initially established. In December 1964, at the first session of the Third National People's Congress, Zhou Enlai proposed the grand goal of striving to achieve the "Four Modernizations"—namely, "to build China into a powerful socialist country with modern agriculture, modern industry, modern national defense, and modern science and technology." After China’s lawful seat in the United Nations was restored in 1971, it rapidly established diplomatic relations with several Western countries, breaking the political isolation and economic blockade imposed by the United States and other Western nations for more than 20 years. From 1949 to 1978, China spent less than 30 years establishing an independent and relatively complete industrial system, laying the foundation for the rapid development of industrialization after the reform and opening up.

2. Adhering to an industrialization development path centered on self-reliance

After the "First Five-Year Plan" period, the Party Central Committee gradually realized that some Soviet practices did not entirely conform to our country's reality, and the Soviet model itself had many defects and deficiencies. Therefore, it was necessary to shift from "taking the Soviet Union as a teacher" to "taking the Soviet Union as a mirror." In June 1958, Mao Zedong proposed to "take self-reliance as the primary focus, strive for foreign aid as a supplement, eliminate superstition [2], and work independently toward industry, agriculture, the technological revolution, and the cultural revolution." Precisely because of the adherence to the policy of "taking self-reliance as the primary focus," the industrialization process was not interrupted after the Soviet Union completely stopped its aid to China in 1960; instead, it entered a phase of independent construction.

In March 1978, at the National Science Conference, Deng Xiaoping proposed that "science and technology are productive forces." In December of the same year, the Third Plenary Session of the 11th CPC Central Committee kicked off the great process of reform and opening up. As opening up continued to deepen, the introduction of technology developed rapidly, covering almost all industrial categories and filling gaps in many technological and production fields, while also accumulating significant experience. In 1982, when summarizing the historical experience of economic construction, Deng Xiaoping pointed out that "obtaining capital and advanced technology from developed countries is not an easy thing" and "we must strive for foreign aid on the basis of self-reliance, mainly relying on our own hard struggle." In September 1988, while meeting with Czechoslovak President Gustáv Husák, Deng Xiaoping proposed the important judgment that "science and technology are the primary productive force." Marked by the convening of the 14th CPC National Congress in 1992, economic structural reform began the exploration of establishing a socialist market economy system, and industrialization entered a stage of rapid development, with the contribution of science and technology to economic growth becoming increasingly significant. In May 1995, at the National Science Conference, Jiang Zemin comprehensively expounded on the implementation of the strategy of rejuvenating the country through science and education, emphasizing that "while we study and introduce advanced foreign technology, we must persistently work to improve the country's independent research and development capabilities." After China's accession to the WTO in 2001, opening up entered a brand-new stage, and industrial economic strength expanded rapidly. However, because the extensive mode of development [3] had not undergone a fundamental transformation, problems such as heavy consumption of resources and energy, environmental pollution, and low efficiency became increasingly prominent. At the same time, the gradual opening of the domestic market placed enterprises under greater pressure from market competition and technological upgrading. Against this backdrop, the 16th CPC National Congress proposed the strategic deployment of taking a path of new-type industrialization. Since then, important Party meetings and documents have repeatedly mentioned "new-type industrialization" and continuously enriched its connotation. Compared with traditional industrialization, new-type industrialization places higher requirements on scientific and technological innovation, especially independent innovation. In 2006, the National Science and Technology Conference proposed "building an innovative country," emphasizing "striving to take a path of independent innovation with Chinese characteristics" and "persisting in placing the improvement of independent innovation capabilities in a prominent position." The 17th CPC National Congress further proposed "better implementing the strategy of rejuvenating the country through science and education, the strategy of strengthening the country through human resources, and the strategy of sustainable development," emphasizing "accelerating the transformation of the economic development mode, promoting the optimization and upgrading of the industrial structure," and "developing a modern industrial system." During this period, China seized the opportunities of economic globalization, utilized the spillover effects of advanced foreign technologies to promote technological progress, gradually narrowed the gap with the world's advanced technological level, and rapidly advanced industrialization. In 2010, China's manufacturing output value surpassed that of the United States for the first time, making China the world's largest manufacturing nation.

(2) The Realistic Foundation for Building a Modernized Industrial System in the New Era

As socialism with Chinese characteristics has entered a New Era, our country faces a new developmental environment, conditions, and stage, with a series of major changes occurring in internal conditions and the external environment. To adapt to the new developmental situation and actively respond to various challenges, the Party Central Committee realized that we must accelerate the construction of a modernized industrial system that possesses Chinese characteristics and meets the requirements of industrialization and modernization. The report of the 17th CPC National Congress proposed to "develop a modern industrial system and vigorously promote the integration of informatization and industrialization." The report of the 18th CPC National Congress proposed to "accelerate the formation of a new economic development mode and shift the focus of promoting development toward improving quality and efficiency" and to "strive to build a new system for modern industrial development." In 2012, the proportion of China's tertiary industry exceeded that of the secondary industry, and the industrial structure realized a transformation from "secondary-tertiary-primary" to "tertiary-secondary-primary." Furthermore, the report of the 19th CPC National Congress pointed out that China's economy has transitioned from a stage of high-speed growth to a stage of high-quality development, emphasizing the need to "build an industrial system characterized by the coordinated development of the real economy, scientific and technological innovation, modern finance, and human resources." The report of the 20th CPC National Congress drew a grand blueprint for comprehensively promoting the great rejuvenation of the Chinese nation through Chinese-path modernization, officially put forward the developmental requirement of "building a modernized industrial system," and made important deployments.

It is worth noting that the "modernized industrial system" (现代化产业体系) proposed by the 20th National Congress and the "modern industrial system" (现代产业体系) and "new system for modern industrial development" (现代产业发展新体系) proposed by the 17th and 18th National Congresses, while linguistically close, differ in their connotative significance. Whether "developing a modern industrial system" or "striving to build a new system for modern industrial development," both were directed at the development of the industrial system itself, springing more from the Party Central Committee’s reflections on transforming the economic development mode. The "modernized industrial system," however, links the industrial system more closely with modernization construction, placing greater emphasis on situating the construction of the industrial system within the overall layout of national modernization for systematic planning. This aligns more closely with the developmental requirement that "high-quality development is the primary task of building a modern socialist country in all respects." Specifically, the New Era has brought new opportunities for industrial development while also bringing new challenges; only by accelerating the modernization of the industrial system can we better adapt to the New Era and its new requirements.

1. The transition of the economic development stage requires that the driving force of industrial development shift from the past focus on factor-driven and investment-scale-driven development to innovation-driven development.

As we enter the stage of high-quality development, major trend-level changes have occurred in our country's comparative advantages in factors of production and the constraints of resources and the environment. At the same time, the scientific and technological revolution and industrial transformation are profoundly affecting people's production and lifestyles. Our country's competitiveness in traditional labor-intensive industries is weakening; enhancing scientific and technological innovation capabilities and accelerating the transformation and upgrading of traditional industries have become the keys for the state and enterprises to maintain competitiveness. Under the influence of various factors, the industrial system faces prominent problems such as the weakening momentum of the real economy, conspicuous shortcomings in key factors, and the mismatch of the factor structure. To solve these problems, the fundamental way out lies in transitioning toward innovation-driven development. The key is to allow new types of production factors—such as technology, data, knowledge, and human capital—to play a greater driving role in industrial development during the process of industrial construction. We must establish a mechanism where production factors shape each other, are closely coupled, and form a virtuous cycle, creating new models for efficient and coordinated industrial chains and industrial organization operation systems. Building a modernized industrial system is a key measure to follow the major trend of shifting between old and new growth drivers, promoting the transformation of industrial development goals from a focus on scale and speed to a focus on efficiency and quality, and shifting the industrial development model from being factor-driven to being innovation-driven.

2. The world today is undergoing profound changes unseen in a century, and changes in the external development environment require us to place the maintenance of industrial security in a more prominent position.

In recent years, developed countries have rediscovered the vital role of industry, introducing a series of laws and policies to revitalize manufacturing. Consequently, the global manufacturing landscape has entered a new pattern defined by the coexistence of multiple powers, multi-regional development, and pluralistic governance. With the in-depth implementation of China’s innovation-driven development strategy, the leading role of high-tech enterprises in scientific and technological innovation and economic development has become increasingly prominent. A large batch of scientific and technological innovations have begun to rank among the world's leaders. In certain fields, our country has shifted from being a "follower" to a "parallel runner," and has even become a "leader" in some frontier sectors. Fearing that China's rise might disrupt the global landscape, Western developed countries led by the United States have attempted to contain and suppress the development of our high-tech and strategic emerging industries through various means, including imposing additional tariffs, technological blockades, and restricting investment in China. Balancing industrial development and industrial security is a strategic measure to stabilize the overall economic situation under the "changes unseen in a century" [4]. As General Secretary Xi Jinping has emphasized, the industrial and supply chains cannot "drop the chain" [5] at critical moments; this is an essential characteristic that the economy of a major power must possess. Constructing a modernized industrial system means resolving "stranglehold" problems [6] through corresponding institutions and measures, provided we have a clear understanding of the new situation and challenges facing industrial development. This involves mastering core technologies in the key links and key fields of the industrial and supply chains, unswervingly promoting high-quality development, effectively safeguarding industrial security, and advancing with the times to comprehensively enhance the resilience and security levels of industrial and supply chains.

3. Strategic emerging industries and future industries have become the new tracks and new economies for which nations compete

Possessing strategic emerging industries and future industries that lead the world is a major hallmark of a manufacturing powerhouse. Currently, the intersection of multiple disciplines and the cross-border integration of multiple technologies are gradually increasing, continuously giving birth to new disciplinary frontiers, new technological fields, and new forms of innovation. Strategic emerging industries and future industries are characterized by active innovation, heavy technology density, and broad development prospects. They constitute fertile soil for the gestation and application of new technologies and can, through the driving effect of industrial chains, continuously form new industrial clusters and ecosystems, promote the optimization and upgrading of industrial structures, and create a powerful "radiation" effect of growth. In order to occupy a leading position in the new round of technological revolution and industrial transformation, major economies such as the United States, the European Union, and Japan have introduced policies to increase strategic deployment for these industries in terms of top-level design, financial support, talent cultivation, and infrastructure. At present, China's construction of a modernized industrial system must seize the precious opportunity where some core technologies of strategic emerging and future industries are still in the early stages of development. We must accelerate the cultivation of strategic emerging industries into pioneer and pillar industries, vigorously develop future industries, actively seize the industrial high ground formed by the new technological revolution, and consolidate the important foundation for developing new quality productive forces, thereby pushing industrial development to achieve the leap from "following" to "leading."

4. Promoting the transformation and upgrading of traditional industries is an inevitable choice for actively adapting to the new technological revolution

Currently, emerging and future industries—arising from new technological innovations, business models, or market demands—are developing vigorously and have become an important force in promoting national economic and social development and industrial structural optimization. However, it must also be seen that the scale of emerging and future industries is relatively small; they are still in the developmental stage and cannot yet replace traditional industries as pillar industries. In fact, traditional industries are mostly those within the industrial system characterized by relatively stable market growth, technological innovation, and profitability. The transformation and upgrading of traditional industries is a vital force for new development momentum and the only path for China to transition from a "large manufacturing country" to a "strong manufacturing power." China's traditional industries are massive, accounting for over 80% of manufacturing, yet the problems of being "large but not strong" and "comprehensive but not refined" remain prominent. Utilizing advanced technologies such as big data to transform and upgrade traditional industries—focusing on solving outstanding problems such as weak innovation capacity, low product value-add, high raw material and energy consumption, and serious environmental pollution—is not only conducive to elevating industries toward high-end, intelligent, and green development and revitalizing them, but it also births new industries, business formats, and models. This is of great significance for cultivating new quality productive forces, building a modern economic system, and ensuring industrial and national security.

II. The Significance of General Secretary Xi Jinping’s Important Discourses on the Modernized Industrial System

Since the 18th Party Congress, our Party has continuously deepened its understanding of the phased characteristics and laws of China's economic development. It has proposed that high-quality development is the primary task in comprehensively building a modern socialist country, and has placed greater emphasis on leading the development of new quality productive forces through scientific and technological innovation to accelerate the construction of a modernized industrial system.

(1) Building a modernized industrial system is an inherent requirement for promoting high-quality development

A modernized industrial system is an important component of a modernized economic system. The report to the 19th Party Congress first proposed the strategic goal of a "modernized economic system." Building a modernized economic system is a major decision and deployment made by the Party Central Committee proceeding from the overall situation of the Party and the state's undertakings; it is the only path to comprehensively improve the overall competitiveness of the economy and promote high-quality development. On January 30, 2018, during the third collective study session of the Political Bureau of the 19th CPC Central Committee, General Secretary Xi Jinping elaborated on the important tasks of building a modernized economic system from seven aspects, which included "building an industrial system characterized by innovation-led and coordinated development." This implies that the industrial system is a core component of the modernized economic system, and building the latter requires the continuous elevation of the former’s modernization level. The modernized economic system is an organic whole; as a subsystem, the industrial system is closely linked to and supported by the market system, the income distribution system, the urban-rural and regional development system, the green development system, the system of comprehensive opening-up, and the corresponding economic structures. Therefore, in practice, we must adhere to the development philosophy of "innovation, coordination, green development, openness, and sharing" [7], and implement "integrated construction and integrated advancement" of all components.

The new development pattern is based on a modernized industrial system. Differing from previous requirements for industrial development issued from the perspective of building a modernized economic system, the report to the 20th Party Congress specifically emphasized "building a modernized industrial system" as an important part of "accelerating the construction of a new development pattern and striving to promote high-quality development." This further highlights the strategic supporting role of the modernized industrial system in promoting high-quality development and building a modern socialist country in all respects. It signifies that our Party must not only focus on industrial development itself and its impact on the economy but also deploy industrial system construction within the broader context of comprehensively building a great modern socialist power. Looking at the history of the world's great powers, any country that has successfully achieved modernization has undergone a process of industrial modernization. Entering the New Era, faced with a severe and complex development environment and the urgent requirement to resolve unbalanced and inadequate development, China’s insistence on placing the focus of economic development on the real economy and regarding the construction of a modernized industrial system as a vital task is both an important manifestation of adapting to the transformation of the principal contradiction in Chinese society [8] and a plan for development from a higher starting point. On January 31, 2023, General Secretary Xi Jinping emphasized during the second collective study of the Political Bureau of the 20th CPC Central Committee that the new development pattern is based on a modernized industrial system, and that smooth economic circulation requires the orderly linking and efficient flow of all industries.

On one hand, the new development pattern takes high-level scientific and technological self-reliance and self-strengthening as the strategic support for national development, which is an intrinsic requirement for building a modernized industrial system. Relying on high-level self-reliance to solve the problem of being controlled by others in core links and key technologies, breaking through "blockage points," "bottlenecks," and "vulnerabilities" in supply constraints, and improving the resilience and security of industrial and supply chains is the only way to fully release the potential of domestic demand and move the economic development model from being "dominated by the international cycle" to "dominated by the domestic cycle." On the other hand, the new development pattern is an open domestic and international dual circulation, and promoting high-level opening-up is an inherent part of accelerating the construction of a modernized industrial system. Adhering to the organic unity of high-level "going out" and high-quality "bringing in," deepening flow-based openness of factors such as goods, services, capital, and talent, and steadily expanding institutional openness involving rules, regulations, management, and standards to build a more internationally competitive modernized industrial system will help realize the mutual promotion of the domestic and international cycles.

(2) Building a modernized industrial system is the only path to comprehensively building a modern socialist country

A modernized industrial system follows the general laws of modern industrial development while also meeting the requirements of Chinese-path modernization. On May 5, 2023, while presiding over the first meeting of the Central Financial and Economic Affairs Commission of the 20th CPC Central Committee, General Secretary Xi Jinping emphasized that a modernized industrial system is the material and technological foundation of a modernized country. This provides the fundamental guidance for us to grasp the relationship between a modernized industrial system and a modern socialist country. From a strategic and global perspective, building a modernized industrial system must follow general laws of modern industrial development while conforming to the essential requirements of Chinese-path modernization, serving the strategic goal of building a great modern socialist power alongside modernization in other fields. General Secretary Xi Jinping profoundly pointed out that Chinese-path modernization has five important characteristics: it is the modernization of a huge population, of common prosperity for all, of material and cultural-ethical advancement, of harmony between humanity and nature, and of peaceful development. Among these, the modernization of a huge population highlights the extensiveness of Chinese-path modernization. Population factors constitute an important aspect of material conditions and have a major impact on modes of production and the level of productive forces. Our massive population means broader market space, richer talent resources, and stronger development momentum, but it also increases demand for natural resources and intensifies pressure on resource distribution. Therefore, achieving modernization requires not only a substantial economic scale and a certain growth rate but, more importantly, shifting the foothold of development toward improving quality and efficiency, and cultivating new economic advantages centered on technology, standards, brands, quality, and services. It is for this reason that the 2023 Central Economic Work Conference further proposed that "we must uphold high-quality development as the 'hard truth' of the New Era." In this sense, building a modernized industrial system solves the problem of unbalanced and inadequate development at the industrial level, accumulates momentum for new drivers, renovates and upgrades traditional drivers, and provides strong support for advancing Chinese-path modernization.

(3) Leading the development of new quality productive forces through scientific and technological innovation and building a modernized industrial system are important focus points for economic work

The 2024 Central Economic Work Conference identified "leading the development of new quality productive forces through scientific and technological innovation and building a modernized industrial system" as one of the nine key tasks for economic work in 2025. This is a key guideline and priority arrangement made by the Party Central Committee through the integrated implementation of the innovation-driven development strategy and the strategic deployment for a modernized industrial system. It further highlights the urgency and necessity of strengthening scientific and technological innovation, developing new quality productive forces, and building a modernized industrial system.

In January 2024, during the eleventh group study session of the Political Bureau of the 20th CPC Central Committee, General Secretary Xi Jinping delivered an important speech, emphasizing that developing new quality productive forces is an intrinsic requirement and a primary focus for promoting high-quality development. The characteristics of new quality productive forces lie in the "new," while the key lies in "quality." They represent a disruptive transformation of traditional modes of production and are closely linked to high-quality development. From the perspective of development paths, new quality productive forces represent a leap in growth that breaks away from traditional economic growth models and traditional development paths for productive forces; reliance on innovation-driven development is the key, and they are the inevitable result of high-quality development. From the perspective of main features, new quality productive forces are characterized by high technology, high efficiency, and high quality, with a substantial increase in total factor productivity as their core marker. They represent an advanced state of productive forces that aligns with the new development philosophy and are an inevitable requirement for high-quality development.

Scientific and technological innovation is the core element for developing new quality productive forces. This is prominently reflected in three aspects: First, the essence of new quality productive forces is advanced productive forces. The "advanced" nature here is mainly reflected in the technical dimension, the key to which lies in strengthening scientific and technological innovation, particularly original and disruptive innovation. Original innovation is characterized by its foundational, breakthrough, and guiding nature, serving as the basis for enhancing primitive innovation capabilities. Disruptive innovation has the potential to change the "rules of the game" and is the focal point of scientific and technological competition between major powers. Strengthening original and disruptive innovation can provide new kinetic energy for fostering and developing new quality productive forces and building a modernized industrial system.

Second, industrial innovation is an important practical form for developing new quality productive forces. Scientific and technological innovation is the endogenous drive for industrial innovation, while industrial innovation is the landing point for scientific and technological innovation; the achievements of scientific and technological innovation can only be transformed into actual productive forces when applied to specific industries and industrial chains. The deep integration of scientific and technological innovation with industrial innovation can effectively improve the modernization level of the industrial system and create favorable conditions for developing new quality productive forces.

Third, coordinating comprehensive innovation centered on scientific and technological innovation is a key measure for developing new quality productive forces. Currently, the development of new quality productive forces faces problems such as incomplete systems and mechanisms, insufficient original technological innovation, slow progress in the transformation and upgrading of traditional industries, and inadequate integrated development of the real economy and the digital economy. Taking scientific and technological innovation as the primary lever and breakthrough point—to promote the organic combination of various types of innovation such as industrial innovation, corporate innovation, and institutional innovation—is the key to clearing the bottlenecks and obstacles [9] restricting the development of new quality productive forces, and is the way forward for accelerating the construction of a modernized industrial system.

III. The Scientific Framework of General Secretary Xi Jinping’s Important Discourse on the Modernized Industrial System

(1) The Rich Connotations of Building a Modernized Industrial System

1. Focusing on accelerating the construction of a "four-in-one" industrial system The 19th CPC National Congress proposed "focusing on accelerating the construction of an industrial system characterized by the coordinated development of the real economy, scientific and technological innovation, modern finance, and human resources." This primarily endowed the industrial system with new connotations from the perspective of the coordinated development of factors. These four major factors are interrelated and mutually reinforcing: Totaling the core and foundation of the modernized industrial system, the real economy must be the support upon which the accelerated construction of a modernized industrial system persists; scientific and technological innovation occupies a core position in the overall situation of national modernization and is the fundamental driving force for building the modernized industrial system; modern finance takes serving the real economy as its starting point and goal, better meeting the diversified financial needs of the real economy by introducing new trading methods, tools, and strategies, and serves as the "blood" for the normal operation and continuous development of the real economy; human resources are a necessary condition for accelerating the construction of a modernized industrial system, improving productivity levels through the accumulation of human resources and the promotion of technological progress. The essence of building a "four-in-one" modernized industrial system is to allow scientific and technological innovation, modern finance, and human resources to return to their roots in the real economy, making the real economy better, stronger, and larger. General Secretary Xi Jinping also pointed out that "innovation-led and coordinated development" are important points of focus in industrial system construction. Innovation-led development primarily emphasizes leading industrial innovation through scientific and technological innovation, relying on such innovation to form advantageous industries that master core technologies, thereby seizing the initiative in international competition. Coordinated development mainly emphasizes solving the problem of "having factors but no coordination" faced by industrial development by improving the quality and efficiency of factor allocation, thereby enhancing the overall effect of industrial development.

2. Creating a modernized industrial system that is independent and controllable, safe and reliable, and highly competitive In January 2023, while presiding over the second group study session of the Political Bureau of the 20th CPC Central Committee, General Secretary Xi Jinping proposed creating a modernized industrial system that is independent and controllable, safe and reliable, and highly competitive. Based on a profound understanding and grasp of the changes in the domestic and international environments facing industrial development, this is an important deployment for the construction of a modernized industrial system from the strategic height of accelerating the construction of a new development pattern and enhancing the security and initiative of development. Independent controllability is the primary prerequisite for industrial development. Most important is the independent controllability of key core technologies, particularly enhancing the independent controllability of industrial and supply chains, emphasizing that key links must not be controlled by others [10], and the initiative in industrial development must be firmly grasped. Safety and reliability are the foundation of industrial development, primarily referring to the security, stability, efficiency, and smoothness of industrial and supply chains, especially the ability to maintain smooth links in production, distribution, circulation, and consumption when facing various internal and external risks and shocks. High competitiveness is an important direction for industrial development and needs to be built upon a foundation of being independent, controllable, safe, and reliable; it primarily refers to industries possessing advantages in technology, R&D, and production, thereby enabling them to occupy a favorable position in international competition.

3. Accelerating the construction of a modernized industrial system supported by the real economy From April 10 to 13, 2023, during an inspection tour in Guangdong, General Secretary Xi Jinping pointed out that Chinese-path modernization cannot take the road of moving from the "real to the virtual" (脱实向虚) [11]; it must accelerate the construction of a modernized industrial system supported by the real economy. From September 20 to 21, 2023, during an inspection in Zhejiang, General Secretary Xi Jinping emphasized that the real economy must be the foundation for constructing a modernized industrial system. The real economy is the "ballast stone" [12] of the national economy and the foundation for the construction and operation of a modernized industrial system. Only with a solid real economy can various production factors have a stable development platform and continue to play their roles through constant optimization of allocation. Manufacturing is the core of the real economy and an important carrier for technology to play its role in enhancing comprehensive national strength. As the global economy returns to the real economy and developed countries continue to promote "re-industrialization" strategies, competition among nations for manufacturing has become increasingly fierce, and the development of China's manufacturing industry faces new challenges. Building a modernized industrial system requires not only maintaining a basically stable proportion of manufacturing but also vigorously promoting the optimization and upgrading of manufacturing; this is required by multiple factors, including the basic characteristics of manufacturing and changes in the domestic and international development environment.

4. Accelerating the construction of a modernized industrial system characterized by integrity, advancement, and security General Secretary Xi Jinping emphasized the construction of a modernized industrial system characterized by integrity, advancement, and security. Integrity is the most obvious advantage of China's industrial system and the foundation for its advancement and security; it primarily emphasizes maintaining and enhancing advantages such as having a complete range of industrial sectors, strong production capacity, wide product coverage, and flexible adaptability, providing solid support for high-quality development. Advancement is an important hallmark of an industrial power and an important goal in building a modernized industrial system; it primarily emphasizes forming new competitive advantages by raising industrial technical levels on the basis of maintaining scale advantages, thereby occupying a more favorable position in global industrial and value chains. Security is an important measure for responding to external shocks and an international environment characterized by "small yards and high fences" [13] and "decoupling and breaking chains" [14]; it primarily emphasizes the ability of the industrial system to effectively resist or quickly recover when facing emergencies, ensuring the security of industrial survival and development. Thus it can be seen that integrity, advancement, and security are closely linked and complementary: maintaining and strengthening the integrity and advancement of the industrial system and constantly improving industrial competitiveness is the fundamental way to safeguard industrial security; consolidating and improving the security of the industrial system to ensure that industrial development is not controlled by others is the important basis and basic prerequisite for the industrial system to possess integrity and advancement.

(2) The Basic Characteristics and Main Tasks of Building a Modernized Industrial System

Regarding the basic characteristics and main tasks of accelerating the construction of a modernized industrial system, General Secretary Xi Jinping emphasized advancing the upgrading of the industrial base and the modernization of industrial chains; promoting the transformation of industries toward being more intelligent, green, and integrated; actively fostering strategic emerging industries and future industries; accelerating the formation of new quality productive forces; enhancing new kinetic energy for development; and taking the advancement of new industrialization as an important task in accelerating the construction of a modernized industrial system.

1. Accelerating the construction of a modernized industrial system that promotes the upgrading of the industrial base and the modernization of industrial chains In April 2023, during an inspection in Guangdong, General Secretary Xi Jinping emphasized promoting the upgrading of the industrial base and the modernization of industrial chains. In July of the same year, while inspecting Jiangsu, he emphasized comprehensively improving these levels. This constitutes an important deployment for developing and strengthening the real economy and accelerating the construction of a modernized industrial system. The industrial base includes the "hard environment," such as products, technologies, and infrastructure that support the formation and development of industries, as well as the "soft environment," such as related mechanisms, systems, policies, regulations, and the quality of the population. Upgrading the industrial base is the development direction for building a modernized industrial system, primarily referring to improving the level of industrial modernization through technological innovation, management innovation, and structural transformation and upgrading. To this end, we must focus on upgrading the industrial base, utilizing existing resources to successfully implement breakthroughs in key core technologies, and achieving breakthroughs in a batch of core basic components, basic electronic units, basic materials, key basic software, and advanced basic processes, providing dynamic and comprehensive support for industries to move toward the medium-to-high end. The modernization of industrial chains is the concentrated expression of the competitiveness of a modernized industrial system, primarily referring to industrial chains being independent and controllable, highly synergistic, and intelligent. To this end, we must consolidate the advantages of a complete industrial system, promote the extension, replenishment, and strengthening of industrial chains, and comprehensively improve their modernization levels.

2. Accelerating the construction of a modernized industrial system that promotes the intelligent, green, and integrated development of industries In May 2023, at the first meeting of the Central Financial and Economic Affairs Commission of the 20th CPC Central Committee, General Secretary Xi Jinping put forward requirements for promoting industrial transformation and development and accelerating the construction of a modernized industrial system, emphasizing the promotion of intelligent, green, and integrated industries. The digitalization of industry is an important direction of the new round of technological revolution and industrial transformation. Seizing the opportunity of the converged development of digitalization, networking, and intelligence, and supporting the intelligent transformation of industry—while giving full play to the leading role of intelligent manufacturing in industrial transformation—will help further improve the overall level of the modernized industrial system. The greening of industry is a powerful measure for actively responding to the tight constraints of resources and the environment, fostering new economic growth points, and achieving sustainable development. Applying new technologies, means, and concepts to promote the green transformation of traditional industries will enhance China's discourse power in global green and low-carbon supply chains, thereby achieving the positive effect of increasing the "gold content" of development by increasing the "green content" of industry. Industrial integration is an effective way to achieve resource sharing and optimal allocation. Synergy, smooth order, and linked development among different industrial categories, regions, large and small enterprises, and upstream and downstream segments can better leverage the overall effectiveness of the industrial system. While deeply promoting industrial integration, we must also strengthen the integration of factors, the integration of industry and finance, the integration of digital and real economies, the integration of systems, and domestic and international integration.

3. Actively fostering strategic emerging industries and future industries, accelerating the formation of new quality productive forces, and enhancing new kinetic energy for development

On September 7, 2023, General Secretary Xi Jinping pointed out at the Symposium on Promoting the Comprehensive Revitalization of Northeast China in the New Era that we must actively cultivate strategic emerging industries such as new energy, new materials, advanced manufacturing, and electronic information; actively nurture future industries; and accelerate the formation of new quality productive forces to enhance new momentum for development. General Secretary Xi Jinping explicitly proposed the concept of "new quality productive forces" and closely linked it with "strategic emerging industries and future industries," setting new and higher requirements for accelerating the construction of a modern industrial system. Strategic emerging industries and future industries represent the primary direction of industrial upgrading and technological innovation; they are an important manifestation of the "advanced nature" of the modern industrial system and the primary battlefield for developing new quality productive forces. Developing strategic emerging industries and planning the layout of future industries are crucial tasks for the 14th Five-Year Plan period. In January 2024, the "Implementation Opinions on Promoting the Innovative Development of Future Industries," jointly issued by seven departments including the Ministry of Industry and Information Technology, followed the logic of "technological innovation—forward-looking identification—transformation of achievements." It proposed undertaking major breakthroughs in six key directions: future manufacturing, future information, future materials, future energy, future space, and future health. The 2024 Central Economic Work Conference also put forward clear requirements to "launch the 'AI Plus' initiative and cultivate future industries." The developmental needs of strategic emerging industries and future industries will further catalyze breakthroughs in scientific and technological innovation, providing powerful support for accelerating the formation of new quality productive forces and enhancing new momentum for development.

  1. Taking the promotion of new-type industrialization as a key task in accelerating the construction of a modern industrial system

In September 2023, at the National Conference on Promoting New-Type Industrialization, General Secretary Xi Jinping made important arrangements for advancing new-type industrialization. He emphasized integrating the requirements for high-quality development throughout the entire process of new-type industrialization and organically combining the construction of a manufacturing powerhouse with the development of the digital economy and industrial informatization. Industrialization is the basic prerequisite and important guarantee for modernization; the modernization level of an industrial system depends primarily on the development level of new-type industrialization. Taking the promotion of new-type industrialization as a key task in accelerating the construction of a modern industrial system is an inevitable requirement for achieving Chinese-path modernization. Guided by the New Development Philosophy [15], new-type industrialization takes technological innovation as its vital engine, green, low-carbon, and circular development as its direction, high-level opening up as its basic reliance, and the integration of the digital and real economies as its main feature. It differs both from China’s traditional industrialization and from the "post-industrialization" of developed countries; it is an industrialization that fully embodies the requirements of high-quality development. Advancing new-type industrialization—oriented toward high-end, intelligent, and green development—and making full use of new-generation digital technologies to transform traditional industries in an all-round, multi-angle, and full-chain manner will help promote industrial structural upgrading, technological innovation, and model optimization, thereby improving the quality, efficiency, and competitiveness of industrial development.

IV. The Practical Orientation of General Secretary Xi Jinping's Important Expositions on the Modern Industrial System

(1) The construction of a modern industrial system should achieve the "Five Persists"

Regarding the basic principles to be followed in building a modern industrial system, General Secretary Xi Jinping emphasized the "Five Persists" at the first meeting of the Central Financial and Economic Affairs Commission under the 20th CPC Central Committee. This provides a scientific guide for action to accelerate the construction of a modern industrial system characterized by integrity, advancement, and security.

  1. Persisting in prioritizing the real economy and preventing the "divergence from the real to the virtual" is the core requirement for accelerating the construction of a modern industrial system

General Secretary Xi Jinping emphasized that while grasping the digital and virtual economies, we must never forget that the real economy is the foundation. A close connection exists between the real and virtual economies. The real economy requires the virtual economy to provide efficient, convenient, and high-quality momentum; the virtual economy requires the real economy to provide a material basis, as it cannot exist independently of the real economy. Accelerating the construction of a modern industrial system requires properly handling the relationship between the real and virtual economies, strengthening the coordination of financial, fiscal, and industrial policies, and promoting the clustering of various productive factors toward the real economy, allowing the virtual economy to better serve the real economy.

  1. Persisting in seeking progress while maintaining stability and advancing step-by-step, while avoiding "craving greatness and foreign styles," is the important methodology for accelerating the construction of a modern industrial system

The modern industrial system involves multiple fields such as finance, technology, ecological environmental protection, and opening up; it is a massive piece of systemic engineering. Persisting in seeking progress while maintaining stability and advancing step-by-step mainly emphasizes that the construction of a modern industrial system must manage its tempo well, based on reality while looking to the long term with scientific planning. Avoiding "craving greatness and foreign styles" [16] mainly emphasizes respecting the objective laws of industrial development and not engaging in blind construction that is detached from one’s own conditions and comparative advantages. For different regions, it is necessary to integrate factor endowment characteristics and industrial development status to find the right direction and apply precise force to accelerate the construction of a modern industrial system with unique advantages.

  1. Persisting in the integrated development of the primary, secondary, and tertiary industries and avoiding fragmentation and opposition is the main direction of attack for accelerating the construction of a modern industrial system

Dependency and mutual promotion exist among the three strata of industry: the primary industry is the foundation of economic development and social stability, providing the prerequisites for the sustained development of the secondary and tertiary industries; the secondary industry is the core of the modern industrial system, and its level of modernization largely determines the development level of the primary and tertiary sectors; the tertiary industry develops on the basis of the first two and in turn promotes their development. Therefore, accelerating the construction of a modern industrial system cannot one-sidedly emphasize the development of any single industry; rather, it must promote the coordinated development of all three through industrial integration to enhance the comprehensive strength of industrial development.

  1. Persisting in promoting the transformation and upgrading of traditional industries, and not simply exiting them as "low-end industries," is an important path for accelerating the construction of a modern industrial system

General Secretary Xi Jinping emphasized the need to profoundly grasp the new characteristics and requirements of the current stage of development, persisting in making the real economy stronger and better as the main direction of attack. We must handle the transformation and upgrading of traditional industries with one hand and the growth of strategic emerging industries with the other. Traditional industries cannot be labeled as "backward"; within them, there are also new quality productive forces and high technology. Traditional industries play a positive role in absorbing employment, improving national living standards, and driving related industries; they are an important foundation for economic development. Although some traditional industries face problems such as weak R&D capabilities, low production efficiency, and excessive resource consumption, this does not mean they are "low-end." The upgrading of traditional industries must never be a matter of "simply exiting"; we must deeply implement the strategy of becoming a manufacturing powerhouse, carry out projects to rebuild the industrial foundation, strengthen industrial basic capacities, deeply implement intelligent and green manufacturing, promote the transformation and upgrading of manufacturing, and carry out quality improvement actions to encourage manufacturing products to "increase variety, improve quality, and create brands."

  1. Persisting in open cooperation rather than "working behind closed doors" provides strong support for accelerating the construction of a modern industrial system

A modern industrial system is not a closed system of self-circulation, but an open system characterized by the flow of factors and exchange of information with the outside world. After years of development, China's industries have achieved historic achievements, yet a gap remains compared to developed countries in high-tech fields. Under these circumstances, "working behind closed doors" means falling behind and being eliminated; a closed industrial development model is unfeasible. We must always persist in open cooperation, making full use of both domestic and international markets and resources, participating deeply in the global industrial division of labor and cooperation, strengthening the linkage of domestic and international industrial and supply chains, and maintaining healthy interaction with the outside world. On the basis of continuously improving the modernization, resilience, and security levels of our own industrial and supply chains, we should take practical actions to strengthen international cooperation, allowing the fruits of development to better benefit people of all countries.

(2) Leading the construction of a modern industrial system with technological innovation

General Secretary Xi Jinping attaches great importance to the leading role of technological innovation in the process of building a modern industrial system, emphasizing that we must lead the construction of a modern industrial system with technological innovation.

  1. We must layout industrial chains around the development of new quality productive forces, promoting the "padding of chains" for weak industries, "extending chains" for advantageous industries, "upgrading chains" for traditional industries, and "building chains" for emerging industries, to enhance the resilience and security of industrial and supply chains and ensure the industrial system is independently controllable, safe, and reliable

The industrial chain is the important carrier for developing new quality productive forces. Arranging industrial chains around these forces and achieving the deep integration of technological and industrial innovation is an urgent necessity. First, promoting the "padding of chains" (补链) for weak industries is vital for enhancing resilience. By concentrating high-quality resources to tackle bottlenecks and weaknesses in the "six industrial foundations" [17], we can gradually escape dependence on foreign technologies and products. Second, "extending chains" (延链) for advantageous industries is key to enhancing competitiveness. This involves leveraging the leading role of large enterprises in innovation while guiding small and medium-sized enterprises to focus on their core business and deepen their industry expertise—following the "specialized, refined, differential, and innovative" (专精特新) development path [18]. Third, "upgrading chains" (升链) for traditional industries is an important field for stimulating new quality productive forces. Encouraging traditional industries to increase innovation investment in line with upgrading trends and using big data and AI to transform them will contribute to a leap in overall productivity. Fourth, "building chains" (建链) for emerging industries is an important guarantee for nurturing new momentum. The development of new quality productive forces is inseparable from new industries; by relying on key generic technologies, frontier leading technologies, modern engineering technologies, and disruptive technological innovations, we can layout future industries and provide vast space for development.

  1. We must scientifically layout technological and industrial innovation around strategic tasks such as promoting new-type industrialization and accelerating the construction of a manufacturing powerhouse, a quality powerhouse, a network powerhouse, and a Digital China

New-type industrialization embodies the development of new quality productive forces and the requirements of a modern industrial system. Its characteristics are reflected in: First, a new source of efficiency. It is an innovation-driven, high-quality industrialization that emphasizes basic research and core technology breakthroughs to provide strong momentum for moving toward the medium-to-high end of the global value chain. Second, new productive factors. Unlike traditional industrialization, it no longer relies on massive labor input and natural resources but emphasizes the role of knowledge, technology, human capital, and data factors. Third, new organizational forms. In the digital age, the platform economy has birthed new industrial organizations where manufacturing and services merge. "Servicitization" (制造服务化) is becoming a key direction for upgrading, extending the value chain of manufacturing. Fourth, new constraints. Green and low-carbon development is a major trend. In the context of achieving "carbon peak and carbon neutrality" [19], we must improve a clean, low-carbon, and circular manufacturing system to achieve the unification of economic, social, and ecological benefits. On the new journey in the New Era, Chinese-path modernization endows new-type industrialization with special connotations; it provides the material and technical foundation necessary for the great cause of national rejuvenation.

  1. We must vigorously develop the digital economy, promote the deep integration of the digital and real economies, and create digital industry clusters with international competitiveness

Promoting the deep integration of the digital and real economies is an inevitable requirement for accelerating the construction of a modern industrial system. In recent years, the digital economy has developed with strong momentum, becoming a new engine for economic recovery and growth. Countries around the world have introduced policies to promote the development of the digital economy, and international competition in this field is becoming increasingly fierce. Driven by a series of favorable policies, the scale of China's digital economy has expanded continuously and maintained rapid growth, with its status and role in the national economy becoming further highlighted. Seizing the historical opportunities of the digital era’s development, vigorously developing the digital economy, and promoting the deep integration of the digital and real economies are crucial for accelerating the development of new quality productive forces and promoting the construction of a modern industrial system.

First, the digital industry is characterized by high innovation, strong permeability, and broad coverage. Vigorously developing core digital economy industries—such as digital product manufacturing, digital product services, digital technology applications, and data element-driven industries—helps satisfy market demands for convenient, efficient, and personalized products and services. Simultaneously, it can drive the digital transformation of other industries through technological empowerment, promoting the optimization and upgrading of the economic structure. Second, the high-quality development of the real economy urgently requires the shaping of new competitive advantages. By fully releasing the value of data elements and leveraging the amplifying, superimposing, and multiplying effects of digital technology, we can use the powerful linking capabilities of digital platforms to promote cooperation and sharing among enterprises. This optimizes resource allocation and realizes the empowerment of the real economy by the digital economy, driving profound transformations in modes of production, business models, and organizational structures, thereby leading to an increase in total factor productivity. Third, the real economy is the cornerstone of digital economic development. Digital technology generates greater value only when applied to the real economy. Promoting the application of digital technology in key sectors such as manufacturing, agriculture, and services, and accelerating the digital transformation of traditional industries, are important measures for speeding up the conversion of old kinetic energy into new [20] and making the real economy solid, strong, and superior. Fourth, accelerating the advancement of new industrialization, cultivating and expanding advanced manufacturing clusters, and creating digital industry clusters with international competitiveness are strategic choices for seizing new opportunities in the new round of technological revolution and industrial transformation. Based on the developmental foundations of China's real and digital economies, we must give full play to the scale advantages of advanced manufacturing and the competitive advantages of factors such as technology and data. Promoting the deep integration of the real and digital economies to achieve resource sharing and complementary advantages in industrial development will provide powerful momentum for high-quality development.

  1. Center on the goal of building a strong agricultural country, increase technological innovation and the application of innovative achievements in areas such as the seed industry and agricultural machinery, use innovative technology to promote modern agricultural development, and ensure national food security.

The 20th CPC National Congress made overall arrangements for comprehensively promoting rural revitalization, proposing for the first time the strategic goal of "accelerating the construction of a strong agricultural country" and emphasizing the need to "thoroughly implement actions to vitalize the seed industry and strengthen support for agricultural science, technology, and equipment." Moving from a major agricultural country to a strong agricultural country relies crucially on technological innovation. Modernized agriculture is an important foundation for building a modern industrial system; promoting the innovative development of agricultural science and technology is the fundamental path to achieving efficient agricultural production, increasing farmers' incomes, and promoting rural economic development. According to statistics from the Ministry of Agriculture and Rural Affairs, the contribution rate of agricultural technological progress in China reached 63.2% in 2023, an increase of 8.7 percentage points from 2012. Through years of effort, China's agricultural science and technology have made considerable progress, with the overall level of innovation entering the world's front ranks. Agricultural technology has become a vital support for ensuring the stable and secure supply of grain and important agricultural products. However, compared with developed countries, deficiencies remain in agricultural technological development, manifested mainly in insufficient integration among innovation subjects, inadequate transformation of technological achievements, and weak industrial driving capacity. Accelerating breakthroughs in key core agricultural technologies and comprehensively improving the capacity for independent innovation in agricultural technology is the only road [21] for cultivating and developing new quality productive forces in the agricultural field and promoting high-quality rural and agricultural development.

On one hand, strengthening the support of agricultural technological innovation is an inherent requirement for building a strong agricultural country. For a large country with a population of over 1.4 billion, food security is the foundation for achieving economic development, social stability, and national security. Technological innovation can not only improve agricultural production efficiency and product quality, enhancing China's agricultural competitiveness internationally, but also contribute to rural environmental governance and sustainable agricultural development, continuously improving farmers' living standards. To consolidate the agricultural and rural foundation of Chinese-path modernization, we must anchor ourselves to the goal of building a strong agricultural country, scientifically plan and promote high-level self-reliance and self-strengthening in agricultural technology, and enhance the core driving force of high-quality agricultural development to provide solid technological support for ensuring stable and increased grain production. On the other hand, frontier fields such as biotechnology and information technology have become the focus of global technological competition, with all countries striving to seize the commanding heights of agricultural technology. Facing increasingly fierce international competition, China must keep pace with the world's agricultural technology frontiers and vigorously promote digital and intelligent transformations in agriculture. We must use more efficient, green, and intelligent agricultural technology to improve comprehensive agricultural production capacity, speed up the cultivation and expansion of emerging industries such as bio-breeding and smart agriculture, and make forward-looking layouts for "future agriculture" such as bio-manufacturing and artificial intelligence, actively enhancing the international competitiveness of our agriculture.

(III) Improving the institutional mechanisms for the construction of a modern industrial system

The Third Plenary Session of the 20th CPC Central Committee proposed "Six Principles" that must be followed to further and comprehensively deepen reform, one of which is "upholding institutional construction as the main thread," and made important arrangements for "improving institutional mechanisms to promote high-quality economic development" and "constructing institutional mechanisms to support comprehensive innovation." This means the Party Central Committee has placed institutional construction in a more prominent position, emphasizing that institutional innovation will provide a powerful guarantee for Chinese-path modernization. Therefore, building a modern industrial system must also focus on institutional construction, promoting the effective achievement of results through the continuous improvement of institutional mechanisms.

  1. Improving institutional mechanisms for developing new quality productive forces according to local conditions.

Developing new quality productive forces according to local conditions involves more than just promoting technological innovation; it also requires strengthening institutional innovation. First, improve the institutional mechanisms for promoting high-level self-reliance and self-strengthening in science and technology. We must leverage the advantages of the new-type whole-of-nation system, comprehensively enhance technological innovation capabilities, accelerate breakthroughs in "chokepoint" [22] problems involving key core technologies, and vigorously promote original and disruptive technological innovation. This will continuously improve the level of transformation and industrialization of technological achievements and enhance the supply of key technologies that support high-quality industrial development. Second, strengthen the institutional supply for new fields and "new tracks." We must further strengthen relevant institutional supply and policy incentives, establish a mechanism for increasing investment in future industries, and effectively leverage the guiding and magnifying effects of fiscal funds. We should encourage enterprises to actively participate in laying out frontier areas of future industries, following the logic of "technological innovation—forward-looking identification—achievement transformation" to vigorously promote the industrialization of frontier technologies and boost the development of future industries. Focusing on key industrial fields such as next-generation information technology, artificial intelligence, aerospace, new energy, new materials, high-end equipment, biomedicine, and quantum technology, we must refine policies and governance systems for strategic industries, strengthening breakthroughs across entire industrial chains, providing all-factor support, and developing the entire ecosystem to cultivate and expand strategic emerging industries. Third, improve institutional mechanisms for promoting the optimization and upgrading of traditional industries. We must continue to exert effort in institutional constraints and standard-setting, improving the mechanisms for formulating and implementing national standards. By using the elevation of national standards to lead the optimization and upgrading of traditional industries, we can fully release the power of standards to compel and guide transformation, making high standards the "assistants" of industrial upgrading and allowing traditional industries to radiate new vitality. Fourth, improve institutional mechanisms for facilitating the aggregation of various advanced productive factors toward the development of new quality productive forces. By innovating the methods of production factor allocation, we can promote the recombination and continuous optimization of new production factors—such as information, technology, and data—and promote the continuous improvement of allocation efficiency for traditional factors—such as labor, land, and capital—thereby driving the development of new quality productive forces through the optimized allocation of resources.

  1. Improving institutions for promoting the deep integration of the real and digital economies.

The integration of the digital and real economies has birthed a large number of new industries, business forms, and models. Sound institutional guarantees are the foundation for supporting the healthy development of these new entities and can provide a long-term, stable environment for the deep integration of the real and digital economies. First, improve institutional mechanisms for enhancing the leading position of advantageous industries. We should establish common technology platforms, focus on breaking through key common technologies across industries and fields, accelerate the demonstration application and iterative upgrading of new technologies, products, and business forms, and strengthen the "reinforcement of long suits" [23] in the industrial chains of key advantageous fields. Second, optimize the operation and supervision mechanisms of major industrial funds. We must strengthen the supervision and management of the operation modes, capital flows, and investment effects of industrial guidance funds, particularly ensuring that major matters—such as investment directions, schemes, and agreements—are subject to effective oversight, thereby better playing the active role of industrial funds in promoting industrial innovation and upgrading. Third, establish a mechanism for maintaining a reasonable proportion of investment in manufacturing. We must strengthen top-level design, establish mechanisms that encourage investment in manufacturing, and continuously optimize the policy system that supports manufacturing's development toward high-end, intelligent, and green orientations. Fourth, accelerate the construction of institutional mechanisms to promote the development of the digital economy. To solve problems such as institutional lag, incomplete laws and regulations, and the digital divide in the process of digital economic development, we must construct a policy system adapted to the characteristics of the digital economy, advancing digital industrialization and industrial digitization through high-level institutional supply. Fifth, improve the system for the routine supervision of the platform economy. We must continue to expand and innovate in the concepts, methods, and means of platform economy supervision, focusing on solving the current mismatch between China's supervision models and the inherent characteristics and laws of the platform economy. This will create an efficient, standardized, equitable, and open development environment, promoting the standardized, healthy, and sustainable development of the platform economy. Sixth, improve the basic institutional system for data. We must establish a data source sharing mechanism to achieve effective protection, efficient circulation, and full development and utilization of data, breaking down the barriers of data source monopolies. We should construct an institutional system centered on data property rights, enhance data security governance and supervision capabilities, and focus on solving various problems existing in data property rights, development, utilization, and rights protection to promote the compliant and efficient circulation of data elements.

  1. Refining institutional mechanisms for the development of the service industry.

To meet the requirements of refining the modern industrial system and to solve problems in the service industry—such as small scale, low efficiency, insufficient openness, and shallow industrial integration—we must effectively strengthen institutional construction. By deepening reform and innovating institutional mechanisms, we can clear the institutional "blockage points" and "bottlenecks" hindering the high-quality development of the service industry and build a new, high-quality, and efficient service industry system. First, refine the policy support system for service industry development. Starting from development concepts, factor preferences, market access, and supervision models, we must accelerate the improvement of a support system with clear orientations and strong measures, creating a development environment characterized by fairness, openness, and orderly competition. Second, optimize the accounting of the service industry. By refining industry classifications, expanding data source channels, and optimizing survey methods, we can improve the quality and efficiency of accounting work. This ensures that every link, process, and step of service industry accounting strictly complies with relevant regulations, producing results that reflect the development of the industry truthfully, accurately, comprehensively, and timely, thereby providing an important basis for scientifically formulating development plans. Third, promote the integrated development of producer services. Producer services are characterized by being technology-intensive, innovation-intensive, and intelligence-intensive. Developing producer services requires expanding the scope of production factor usage and breaking down invisible barriers—such as "roller-shutter doors," "glass doors," "revolving doors," and "spring doors" [24]—that hinder cross-regional operations. This will promote regional exchange and cooperation and assist the development of new quality productive forces. Fourth, improve mechanisms for accelerating the diversified development of life services. This primarily addresses the mismatch between the supply of life services and the people's inherent needs for a better life, better meeting the personalized, diverse, and high-quality service consumption needs of the masses. Fifth, refine the regulatory and institutional system for intermediary service agencies. This will ensure that intermediary service agencies truly become important market entities. By refining the relevant legal and institutional systems, we can promote honesty, trustworthiness, and the performance of duties according to the law, providing a prerequisite for the accelerated development of the service industry.

  1. Improving institutional mechanisms for modern infrastructure construction.

Modernized infrastructure serves as a vital support and guarantee for a modernized industrial system. The primary tasks for improving the systems and mechanisms for modernized infrastructure construction include: First, constructing a planning and standards system for new-type infrastructure. By strengthening top-level design, we must define the construction and application standards for new-type infrastructure and adhere to a people-centered, demand-oriented, and scenario-driven approach to form the "hard support" [25] that serves national strategies and unblocks economic circulation. Second, improving the mechanisms for the integrated utilization of new-type infrastructure. Adapting to industry trends such as digitalization, networking, intelligence, and integration, we must refine mechanisms for the integrated use of new-type infrastructure, connecting such infrastructure across different industries and fields efficiently and securely to enhance the operational efficiency of the entire infrastructure system. Third, promoting the digital transformation of traditional infrastructure. We must strengthen the application of new technologies—such as big data, cloud computing, and artificial intelligence—in fields like transportation, energy, water conservancy, and municipal services, significantly upgrading the service capacity of traditional infrastructure and accelerating the process of shoring up its weak links. Fourth, broadening diversified investment and financing channels. Infrastructure construction involves large investment scales, long cycles, and multiple departments; thus, it is necessary to continuously expand project financing channels and improve coordination mechanisms for major project construction to better meet financing needs and accelerate project implementation. Fifth, deepening the reform of the integrated transportation system. The key lies in perfecting the systems and mechanisms of integrated transportation to promote cost reduction, quality improvement, and efficiency gains in transportation logistics. Sixth, improving the mechanisms for the construction, operation, and management of major water conservancy projects. The emphasis here is on ensuring the high-quality advancement of major water conservancy projects by strengthening quality assurance in preliminary work and standardizing project review and approval, thereby effectively leveraging institutional building to ensure flood control safety, water supply safety, and ecological safety.

  1. Improving the Systems for Enhancing the Resilience and Security Levels of Industrial and Supply Chains

General Secretary Xi Jinping has emphasized the need to further establish the philosophy that "development is the absolute principle, and security is also the absolute principle" [26]. Industrial security primarily emphasizes the security of industrial and supply chains. The focus of improving the systems for enhancing industrial and supply chain resilience and security levels includes: First, improving the systems and mechanisms for strengthening the development of key industrial chains. Focusing on key chains such as aerospace, integrated circuits, industrial mother machines [27], and biotechnology, we must promote "chain-supplementing and chain-strengthening" starting from technology, actively conduct research into breakthroughs for key core technologies, take multiple measures to clear bottlenecks and breaking points in industrial chains, and move quickly to create independent and controllable industrial and supply chains. Second, promoting technological breakthroughs and the application of achievements across the entire chain. We must leverage the advantages of the new-type whole-of-nation system [28] under the conditions of a socialist market economy—characterized by unified leadership, unified decision-making, and unified command—to form long-term support for breakthroughs in key core technologies. This involves promoting the integrated allocation of projects, bases, talent, and capital in key fields and strengthening scenario innovation and service guarantees for the transformation of scientific and technological achievements. Third, establishing assessment and response mechanisms for industrial and supply chain security risks. We must refine the mechanisms for formulating and implementing industrial policies, continuously enhancing industrial governance capacity and levels to more effectively coordinate development and security. Fourth, perfecting coordination mechanisms for the orderly gradient transfer of industries within the country. Based on actual conditions such as resource endowments, locational advantages, and industrial foundations, and in accordance with the development requirements of the Chinese-path modernization industrial system, we must plan industrial development and layout, innovate inter-regional cooperation models for industrial transfer, and promote the cross-regional extension of industrial chains. Fifth, perfecting the system for the overall planning and linkage of exploration, production, supply, storage, and sales of strategic mineral resources. We must firmly hold the bottom line of secure development and enhance the capacity to guarantee the supply of strategic resources, focusing on securing strategic mineral resources such as oil, natural gas, coal, rare earths, and crystalline graphite.

  1. Coordinately Promoting the Integrated Reform of Systems and Mechanisms for Education, Science and Technology, and Talent

Education, science and technology, and talent constitute the foundational and strategic support for Chinese-path modernization. First, we must deepen comprehensive educational reform to highlight the leading advantage of education. Education is the fundamental basis for talent cultivation. Deepening comprehensive educational reform must be driven by technological development and national strategic needs, advancing deep reforms in areas such as cultivation methods, schooling models, management systems, and guarantee mechanisms. This will effectively cultivate high-quality talent for the development of a modernized industrial system, with a focus on innovative and highly skilled talent to build a "reservoir" of industrial talent. Second, we must deepen the reform of the science and technology system to highlight the dominant advantage of science and technology. We should optimize the organizational mechanisms for major scientific and technological innovation, leverage the institutional advantage of concentrating resources to accomplish large undertakings, strengthen the coordination of innovation resources and the organization of forces, and continue to reinforce cross-field and cross-disciplinary collaborative research. We must improve the management of science and technology plans, strengthen organized basic research, and refine the mechanisms for the allocation and management of central government scientific and technological funds to further standardize their use and maximize incentives for researchers to produce high-quality results. We must also deepen the reform of mechanisms for transforming scientific and technological achievements, providing a more favorable environment and conditions to fully release the innovative vitality of researchers. Building a technology-finance system compatible with technological innovation will accelerate the formation of a "technology–industry–finance" virtuous cycle, assisting the development of new quality productive forces. Third, we must deepen the reform of the system and mechanisms for talent development to highlight the creative advantage of talent. By improving mechanisms for discovering, selecting, and cultivating young innovative talent, perfecting mechanisms for the orderly flow of talent, strengthening talent incentive mechanisms, and refining support and guarantee mechanisms for talent recruited from overseas, we can build a high-quality talent workforce. This will create a technological innovation environment where all types of talent can be "attracted, retained, and utilized effectively," fully mobilizing the innovative vitality of technological talent to consolidate the talent support for building a modernized industrial system. Fourth, we must construct a comprehensive innovation system and mechanism. We should coordinately promote the integrated reform of systems and mechanisms for education, science, and talent, driving the development of new quality productive forces and the construction of a modernized industrial system through the "trinity" [29] collaborative construction of education, science, and talent. Educational system reform should achieve "three focuses": focusing on improving the level and quality of independent talent cultivation, focusing on supporting high-level self-reliance and self-strengthening in science and technology, and focusing on enhancing the capacity to serve economic and social development—effectively making the "first move" in education. Science and technology system reform primarily focuses on the "three major fields" of scientific research, experimental development, and promotion/application, making the "self-strengthening move" in technology. Talent system reform should focus on the "three great tasks": improving independent cultivation mechanisms, accelerating the construction of a national strategic talent force, and promoting the rational regional layout of talent—taking the "innovation move" in talent. By persisting in "trinity" collaborative construction, we can accelerate the building of a modernized industrial system and drive high-quality development with new quality productive forces.

V. The Value Significance of General Secretary Xi Jinping’s Important Discourse on the Modernized Industrial System

General Secretary Xi Jinping’s important discourse on the modernized industrial system adheres to the principle of combining the basic tenets of Marxism with China’s specific realities and with China’s fine traditional culture ("the Two Combinations"). It is a vital component of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era and represents a major original contribution.

(1) Summarizing and Sublimating China's Experience in Industrial Systems and Modernization Construction

China has completed the process of industrialization—which took developed countries several centuries—in just a few decades, reflecting the arduous exploration and unremitting struggle of the Communist Party of China to realize socialist modernization. Standing at the historical starting point of the New Era and the new journey, General Secretary Xi Jinping’s important discourse on the modernized industrial system inherits and develops valuable experiences, such as the institutional advantage of concentrating resources to accomplish large undertakings, adhering to independence and self-reliance in exploring the path of Chinese industrialization, and insisting on placing scientific and technological innovation at the core of the overall national development. On this basis, combined with the latest practices of China's economic development, the discourse elucidates the connotation, characteristics, and tasks of building a modernized industrial system, as well as its relationship with promoting high-quality development and comprehensively building a modern socialist country. It emphasizes methods such as deeply implementing the innovation-driven development strategy, continuously enhancing technological innovation capabilities, and developing new quality productive forces to solve current industrial system problems such as being "large but not strong," "comprehensive but not refined," and "broad but not deep." This aims to achieve the reinforcement of foundational industries, the consolidation of the leading status of advantageous industries, and the forward-looking layout of future industries, thereby providing continuous momentum for steady, healthy, and sustainable economic development. General Secretary Xi Jinping’s important discourse possesses a broad historical perspective and forward-looking strategic thinking, connecting the past, present, and future. It profoundly answers the major question of "what kind of industrial system should be built to adapt to new situations, solve new problems, and meet new challenges," while containing deep reflections on "how to plan industrial system construction at a higher level to match the goal of comprehensively building a great modern socialist country." It realizes the dialectical unity of theoretical, historical, and practical logic, successfully opening a new realm for industrial systems and modernization construction.

(2) Breaking Through the Understanding of "Modern Industrial Structure" in Western Industrial Theory

Mainstream views in Western industrial theory hold that the shift from a manufacturing-led to a service-led industrial structure is a vital hallmark of industrial structural transformation and upgrading. They argue that only when the service sector's proportion of the three industries reaches at least 70% can an economy be called "modern," i.e., entering a post-industrial society. However, this view, which purely emphasizes industrial structure evolution as the measure of a country’s level of development and modernization, has to some extent led to the decline of manufacturing and "industrial hollowing out" in developed Western countries. In proposing the construction of a modernized industrial system, General Secretary Xi Jinping did not blindly copy Western "modern industrial structure" theories. He did not deliberately reduce the proportion of industry to increase that of services. Instead, he broke through the traditional practice of dividing industrial systems by the three-industry structure. From the perspectives of factor synergy and the coordination of industrial development and security, he has continuously endowed the industrial system with new connotations, emphasizing the construction of a modernized industrial system supported by the real economy. By coordinately promoting the upgrading of traditional industries, the growth of emerging industries, and the cultivation of future industries, he has achieved a transcendence of Western industrial theory.

(3) Enriching and Developing Marxist Productive Force Theory

Productive forces are the ultimate decisive factor driving the forward development of human society; their status represents the breadth and depth of humanity's transformation and utilization of nature. The fundamental task of socialism is to liberate and develop social productive forces. Marxism holds that labor productivity develops continuously with the progress of science and technology and places great importance on the development of science and technology and its application in production. General Secretary Xi Jinping has combined Marxist productive force theory with the practical experience of Chinese-path modernization, farsightedly proposing the major theoretical and practical issue of developing new quality productive forces. He emphasizes leading the development of new quality productive forces through technological innovation to build a modernized industrial system. With technological innovation as its core element, new quality productive forces represent the most active and driving part of the industrial system, playing a crucial role in driving the construction of a modernized industrial system and high-quality development. General Secretary Xi Jinping’s profound exposition on the basic connotation, main characteristics, key tasks, and paths of realization for new quality productive forces represents a systematic strategic reflection on the liberation and development of social productive forces in the New Era based on China’s national conditions. It is an innovation and development of Marxist productive force theory, further deepening the understanding of the laws governing the development of productive forces and enriching the connotations of Xi Jinping’s economic thought.

(4) Providing a Chinese Solution for Developing Countries to Achieve Modernization

Differences in history, culture, and social systems determine the diversity of developmental paths chosen by different nations; every country should explore a modernization path that suits its own national conditions. However, in reality, some countries have chosen the wrong frame of reference in their modernization process. Ignoring their own national conditions and historical positions, they have wholesale copied Western models, taking what developed countries have and do as their own goals, leading them into a quagmire of growth from which it is difficult to escape. For example, some Latin American countries, when transitioning from an industrial economy to a service economy, suffered from "premature deindustrialization" [30]. Coupled with an underdeveloped service sector, this led to unsustainable industrial upgrading and eventual entrapment in the "middle-income trap." Diverging from the practices of other countries, China, on the basis of possessing a comprehensive, independent, and complete industrial system, has creatively proposed building a modernized industrial system to respond to the new round of technological revolution and industrial transformation and to seize the initiative for future development. This presents a new vision of industrial development and modernization distinct from Western models. General Secretary Xi Jinping’s important discourse on the modernized industrial system crystallizes the results of the long-term practical exploration of the CPC and the Chinese people, opening up a new realm, pattern, and height for industrial system construction and expanding the paths for developing countries to achieve modernization.

VI. Conclusion

In the New Era and on the new journey, the CPC Central Committee with Comrade Xi Jinping at its core has viewed China's economic development through a comprehensive, dialectical, and long-term lens, creatively proposing the new concept of a "modernized industrial system" and the new task of "building a modernized industrial system." From the perspective of promoting development, building a modernized industrial system is highly consistent with our country’s goals of optimizing structure, transforming the mode of development, shifting growth drivers, and achieving comprehensive and balanced development; it is the path that must be taken to promote high-quality development. From the overarching perspective of modernization construction, a modernized industrial system conforms to the developmental requirements of the New Era, is capable of providing support for modernization in other fields, and constitutes the material and technical foundation of a modern country. From the perspective of international competition, focusing on constructing a modernized industrial system characterized by integrity, advancement, and security—while accelerating the creation of a batch of new growth engines and improving the resilience and security levels of industrial and supply chains—will help our country better gain the strategic initiative in future development and international competition.

General Secretary Xi Jinping’s important expositions on the modernized industrial system possess extremely rich ideological content and constitute a scientific theoretical system. We must continuously deepen the systematized research and academic interpretation of this important thought, giving full play to its guiding role for theoretical and practical innovation. At the same time, General Secretary Xi Jinping’s important expositions on the modernized industrial system represent an open and continuously evolving scientific system; we must study the leadership methods, ideological methods, and work methods contained therein with an open vision, innovative thinking, and a developmental perspective. Looking toward the future, General Secretary Xi Jinping’s important expositions on the modernized industrial system will continue to lead China toward becoming a great modern socialist country that is prosperous, strong, democratic, culturally advanced, harmonious, and beautiful, while contributing Chinese wisdom and Chinese solutions to global modernization.

(Author’s affiliation: Liaoning University)
Source: Economic Perspectives (Jingjixue Dongtai), Issue 3, 2025
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